What's the Reason that Fujian Lacks Top Ceramic Brands?
31 Jul 2017/CTW
Fujian, one of the eight ceramic bases in China and the largest production base for exterior wall tiles in China, has the second largest production capacity of ceramics. In 2016, its production capacity reached 2.46 billion sq.m with a value of 61.3 billion yuan. But it lacks top ceramic brands like MARCO POLO and DONG PENG. What's the reason?
Actually, many years ago, Fujian’s exterior wall tiles had great influence in Chinese ceramic industry and Fujian also had many top brands in the filed of exterior ceramics. But, in recent years, the ceramic companies in Fujian have gradually shifted to produce rustic tiles due to the upgrading of the industry and the shrink of the market of exterior wall tiles. Unfortunately, they haven’t set up any top brands. Though some ceramic companies that specialized in rustic tiles have presented in Fujian, they do no have much influence in the whole industry. So, what's the reason?
Most of Fujian ceramic companies run the companies by the family. So, they tend to be clubby. And it will make the talents find it hard to fit into the company. As a result, the innovative ability of the Fujian ceramic companies are weakened. If there is no innovation in the management model and business philosophy and the products, then ceramic companies will find it tough to build up the top brands in the market.
Fujian lags behind Guangdong and Shandong in many field, such as the ceramic machine, supply of raw materials, product design and R&D. Thus, Fujian’s ceramic companies face the challenge of high cost price, low added value and competitiveness.
When Fujian’s ceramic companies shifted to produce rustic tiles, they continued to wholesale their products. And it is the mode which seriously restricted the development of the brand of rustic tiles in Fujian.
Although Fujian currently lacks top brands now, it can make efforts to change this situation. Firstly, Fujian government can introduce the favourable policies that attract talents and excellent ceramic companies to work in Fujian base. For example, the government can provide the talents with financial assistance and offer the excellent ceramic companies favourable tax.
Besides, Fujian government can cooperate with some local powerful ceramic companies to build up a public service platform which can serve all ceramic companies in Fujian ceramic base. Thus, it can help to enhance the cohesion amony local ceramic companies and the competiveness.
Fujian ceramic companies should also try their best to grab the increasing market of rustic tiles, and get out of the vicious circle of low-price competition.
This is the 336th issue.
Editor: Mary
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